I get asked this question all the time: What time of year is best for listing my company for sale?
A few years ago, I would have had an answer based on what buyers told me about taking over as an owner/operator. They often preferred to take the reins in the winter months. The slow season gave them the opportunity to ease into ownership, getting used to the people and processes that already existed. They could take time to train employees and integrate them into the new brand and new ways of doing things.
But now, the HVAC industry has become very attractive to professional buyers; parties looking for strategic acquisitions who are often backed by private equity financing. For them, there’s no seasonality. They look for companies with a general manager in place, so they don’t have to immerse themselves in day-to-day operations. They’ll be making changes to improve profitability and streamline processes, and those can be made throughout the year. When they see the right opportunity, they’ll make an offer no matter what time of year it is.
Here’s what to consider about timing the sale of your business:
The best time to list is when you’re ready to sell. Your mindset is the most important factor in the decision to sell. You should be committed to getting the deal done and ready to put in the work of vetting a buyer and making the diligence process go smoothly (that last point is especially important if diligence is happening during the busiest part of the year, since it will take several hours a week outside the office).
You should be willing to exit when you reach the number that seals the deal for you. Once you get an offer that meets your financial goals, no matter what time of year it is, you should be ready to pull the trigger.
Getting ready to list takes time up front. You’ll need to make sure your financials are cleaned up and organized; your broker can help you anticipate what documents you’ll need to update and advise you on what expenses should come off the books so a buyer gets the true picture of the company’s profitability.
You’ll also want to have a clear management structure in place so you are not essential to running the company on a daily basis. No buyer wants to buy a job; they’re looking for a company that is profitable and that runs smoothly without the owner’s constant presence. Make sure your processes and operations are tightened up so a buyer can see what’s working now and what might be improved with an infusion of capital or technology.
Even if you list the company at a specific time of year, the sale may not happen until months later. It’s very difficult to time your sale. The right buyer might come along a week after the business is listed. Sometimes, sellers work with a buyer for months, only to have the deal fall through. And since so many owners think about seasonality the same way (“I’ll wait until right after the busy season”), there are more companies on the market after summer, making it more challenging to compete for top dollar from buyers.
That’s why it’s so important to list your company while there’s still gas in the tank – both in the company’s sales and your personal energy. It’s not uncommon to see an owner take their foot off the gas soon after deciding to sell. They may be preoccupied with all the requests for information and detailed to-do lists during the diligence process. They may be dreaming about all the traveling they’ll be doing when they retire. They may just be burned out and ready to walk out the door.
That’s why I always recommend that owners take the first step when the idea of selling becomes hard to ignore. The most important piece of information you need is your company’s value in today’s market.
More and more capital is turning toward AI-proof essential services like HVAC, so 2026 might be the right time for you to sell. If I can help, contact me for a free and confidential valuation.
